Drives Co. sells portable hard drives. They can sell 600 drives when the price is $75/drive, and they can sell 720 drives when the price is $45/drive. If x represents the number of drives sold, determine the following. (a) What is Drive Co.'s revenue function? R(x) =_ (b)What is the price per drive (in dollars) when revenue is maximized? _ (c) What is the maximum profit (in dollars) made from the sale of these drives if Drive Co. incurs production costs of $165 per drive and has fixed costs of $625? $_
Drives Co. sells portable hard drives. They can sell 600 drives when the price is $75/drive, and they can sell 720 drives when the price is $45/drive. If x represents the number of drives sold, determine the following. (a) What is Drive Co.'s revenue function? R(x) =_ (b)What is the price per drive (in dollars) when revenue is maximized? _ (c) What is the maximum profit (in dollars) made from the sale of these drives if Drive Co. incurs production costs of $165 per drive and has fixed costs of $625? $_
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Drives Co. sells portable hard drives. They can sell 600 drives when the price is $75/drive, and they can sell 720 drives when the price is $45/drive.
If x represents the number of drives sold, determine the following.
(a) What is Drive Co.'s revenue function?
R(x) =_
(b)What is the price per drive (in dollars) when revenue is maximized? _
(c) What is the maximum profit (in dollars) made from the sale of these drives if Drive Co. incurs production costs of $165 per drive and has fixed costs of $625?
$_
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